Market Highlights

Knoxville has shown incredible growth and durability over the past several years, now consistently ranking as one of the best-performing multifamily markets in the country. As many national markets are beginning to become stagnant, multifamily rent growth in Knoxville continues, largely driven by record-breaking enrollment at UT Knoxville. Rents rose 9.6% in June 2023, exponentially larger than the national average of 2.3%. Even with the increase in rents, occupancy remains high as the MSA average is 95%, showing that demand is still immensely high in this competitive market.

In 2023, Knoxville is expected to deliver around 2,090 units, and 4,522 units are currently under construction. Even though total units will increase, the multifamily market is anticipated to flourish due to rising mortgage rates, a decline in single-family home sales, a growing job force, and the University of Tennessee-Knoxville continuing to expand and assert its presence. Additionally, attractive tax incentives and quality of life will continue to attract people and businesses to the Knoxville area.

The Knoxville MSA is largely driven by the Healthcare, Education, Energy, and Research industries as some of the area’s largest employers include Covenant Health, The University of Tennessee-Knoxville, Y-12 National Security Complex, Oak Ridge National Laboratory, and University of Tennessee Medical Center. During 2022 alone, 20,400 jobs were created, which grew overall employment in the region by 4.9%.


Multifamily Highlights

Major Employers

  1. Covenant Health

    11,357 Jobs / 11 Hospitals  | Learn More
  2. The University of Tennessee-Knoxville

    8,959 Jobs  | Learn More
  3. Y-12 National Security Complex

    7,800 Jobs  | Learn More
  4. Oak Ridge National Laboratory

    5,772 Jobs  | Learn More
  5. University of Tennessee Medical Center

    5,387 Jobs / 710 Beds  | Learn More
  6. Clayton Homes

    5,047 Jobs  | Learn More
  7. DENSO Manufacturing

    5,000 Jobs  | Learn More
  8. Dollywood

    4,500 Jobs  | Learn More
  9. Tennova Healthcare

    2,900 Jobs  | Learn More
  10. Blount Memorial Hospital

    2,722 Jobs / 304 Beds  | Learn More

Other Demand Drivers

  1. Dollywood

    3 Million+ visitors annually  | Learn More
  2. Neyland Stadium

    101,915 capacity  | Learn More
  3. West Town Mall

    Major Tenants include: Belk, JCPenney, and Dillard's  | Learn More
  4. Knoxville Zoo

    53-acre zoo with 700+ animals  | Learn More
  5. East Tennessee Children's Hospital

    1,838 jobs  | Learn More
  6. Center at Deane Hill

    Major Tenants include: Food City, Old Navy, Kohl's, and Bed Bath & Beyond  | Learn More

Sources & Comments

1. Knoxville, TN Metropolitan Statistical Area consists of 9 counties, according to Office of Management and Budget: (1) Anderson (2) Blount (3) Campbell (4) Grainger (5) Knox (6) Loudon (7) Morgan (8) Roane (9) Union

2. Primary Sources: (1) (2) YardiMatrix (3) (4) CoStar (5) (6) (7)

3. Sales Comps are from 8/24/22 – 8/24/23

4. Development Pipeline as of 10/24/2023

5. This information supplied herein is from sources we deem reliable. It is provided without any representation, warranty, or guarantee, expressed or implied as to its accuracy